European online ad spending up 20%

Fri 12 June 2009 09:00, Bas van den Beld

European online ad spending up 20%

IAB Europe released its online advertising expenditure research 2008 and found that European online ad spending was up 20% in 2008 compared to a year earlier. In total €12.9 billion was spent. Search is stille the most popular way of online advertising.

The report, which was made by PricewaterhouseCoopers, states search spend had increased with no less than 26%, where classifieds were up 17%, display 15% and e-mail 12%. Search accounted for 43% of online ad expenditure with a value of €5.6bn.

The growth seemed to be mainly caused by the 'big spenders' as the top ten countries accounted for 93% but six of the top 10 European markets grew less than 20%. Big example in that was The Netherlands which only grew 9%. The Netherlands always was a front player in this area. Smaller markets like Poland and Slovenia saw a growth of 60% and 77%.

Alain Heureux, president and CEO of IAB Europe, said, “Overall the picture in Europe is one of growth, but what’s clear from these figures, and what will surprise no one, is that 2008 was a tough year for online advertising.... The focus on search and classifieds underlines just how important making online ad spend accountable is for our industry to develop and grow, and it’s why IAB Europe has been supporting research into its measurement,”

It's remarkable to see that in Europe is seeing a much bigger growth than for example the US which only grew 10,6% and even saw a decline of 5 percent in the first Quarter. No doubt the growth of the smaller and emerging countries like Poland and Slovenia play a big role in this difference. PricewaterhouseCoopers does expect a period of renewed growth.

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